Social Housing Tenant Survey Results 'Deeply Worrying'

The results of a social housing tenant survey have been described as "deeply disturbing", with residents caught in a spiral of poverty which is affecting their health and wellbeing. Quids in! magazine's poll found that social housing tenants' access to mainstream financial products has fallen "alarmingly" in the last two years. And large numbers of tenants are still digitally excluded with no access to the internet at home or at work, while almost half of working age readers report having had their benefits cut in the last two years. Read more on the Quids In! website.

Millions Announced For Universal Credit Banking

Ministers are calling for a range of suppliers to explore the feasibility of new financial products to help benefit claimants budget and manage their money. The DWP is expecting interest from a range of financial providers, including high street banks, mobile phone operators and pre pay card providers, and has announced it is willing to invest between £80m and £145m. In a summary of its proposals the DWP estimates that ‘up to 2.5 million Universal Credit claimants’ will need additional support to manage their money during the transitional period. It says it wants to enable claimants to access financial products that offer budgeting support by ‘subsidising the cost of these products for an interim period of one year per claimant as they transition onto Universal Credit’. It adds: ‘At the end of the initial subsidised period DWP will withdraw the subsidy. The claimant will then choose whether they wish to continue using the account, with either themselves or a third party meeting the ongoing monthly cost’.  Read more on the NHF website.

Freud: New Financial Products to Help Universal Credit Claimants Manage Money

Ministers are calling for a range of suppliers to explore the feasibility of new financial products to help benefit claimants budget and manage their money.

The Government expects interest from a wide range of financial providers, including high street banks, mobile phone operators and pre pay card providers.  Lord Freud, Minister for Welfare Reform, said:

    "Accounts that provide people with extra budgeting services could help to ensure people’s essential bills are covered – helping them to build up their credit rating and break the cycle of financial exclusion.” As part of the criteria any potential new accounts must have a series of essential features to help people on low incomes to budget, but the final design will be left open to the market to devise, including:

    *Support for claimants to budget and manage their money

    *Regular payments for housing and other main bills

    *Options for multiple income streams from work and benefits

    *Access to all claimants, irrespective of credit history

    *Options to build up a credit rating

    *Availability to people once they have moved off Universal Credit

Read more on the DWP website.